Morning journal and courier., 1887-09-02
INTERSTATE COMMERCE.

The Investigation by the Commission
 at RutlaAd-Testim onY of Interested
 Parties.
 RUTLAND, Vt., Sept. 1.-The complaints of the Boston and Albany railroad and of the Patrons of Industry against the Vermont Central Vermont railroad company and Ma tional Despatch line for alleged discrimina- tion in freight rates came up before the inter- State commerce commissioners for hearing to-day. All the commissioners were present. The interested parties were represented by able counsel. The Vermont railroad com missioners and many prominent lawyers were present. Before proceeding with the case, on motion of Senator Edmunds, the Chicago Dressed Beef company's case was postponed by mutual consent to October 31. By agreement the complaints against the Central Vermont were heard together. The substance of the Boston and Albany's com- plaint was that the National Despatch line by it's connection with the Boston and Lowell, Vermont Central and Grand Trunk roads maintained lower rates between Boston and the lake cities than between Boston and other points. The traffic manager of the Central Vermont testified that the National Despatch is not corporation, but an associa- tion of lines doing through business only and paying the railroad over which the cars are run on milage basis. This line is not a member of the trunk line joint committee. The National Despatch has taken small diferential below the trunk lines. In reply to Senator Edmunds he said the rate from Detroit to Boston is 2411s cents, of which the Grand Trunk has 6411S per cent. |, the Central Vermont 55 per cent. of the balance and the Lowell and Concord roads the remainder. The steamship company gets forty per cent. of the Chicago through freight and is allowed forty cents agents expense. The car company is allowed three-quarters of one per cent. per mile per car. The National Despatch issues & tariff for points beyond St. Albans only. After taking out salaries and car expenses, the earnings are divided among the railroads in the line according to their mileage. This line, the Grand Trunk, was allowed differ ential rate by the trunk line pool because the line is longer, the grades heaviest and it runs through more northern climate.
 The freight rate from Boston to Montreal is the same as from New York to Montreal. 4A tAo AOAAAC1 1dIc Wt1o 4A1Ea0& IA0A 11O 4ht1oI Montreal merchants would trade more with New York, thus hurting New England business. These rates are on 8 forty five cent basis. Witness claimed that export business has been injured by the inter- State law. General Superintendent Mellen, of Boston and Lowell, said he knew nothing of the origin of circular purporting to be signed by him, which advocates to deliver freight of the first class via the National Despatch at Chicago four and half days out from Boston. Witness said he knew of no written agreement between the Lowell and the Despatch lines, but the present arrange ment has been in vogue ever since he became director of the road in 1869. They had not always been satisfied with their share, and had made complaint to the Central Vermont. After the inter State law was passed his com pany took counsel and notified the Central Vermont they intended to follow section 4 to the letter, and no rates below White River Junction are higher than to that point. Petitioners rested their case here and defense called E. G. Lucas, auditor of the Central Vermont, who gave. the Last years financial Statement of the Central Vermont and Ogdensburg and Lake Cham plain roads embracing the freight earnings. The evidence tended to show how dependent the Central Vermont is upon throug gh busi- ness. At the conclusion of his testimony recess was taken until tomorrow when it is probable President Smith of the Central Vermont will take the stand and go fully into the reasons for organizing and maintain ing through freight lire not owned by the roads.